Trump Payout of $16M Smoothes the Way for Paramount-Skydance Agreement
In a significant legal resolution, Paramount Global has agreed to pay $16 million to settle a lawsuit filed by former President Donald Trump over allegations of deceptive editing in a "60 Minutes" interview with Vice President Kamala Harris during the 2024 election campaign. The lawsuit, originally seeking $10 billion in damages, was filed in the U.S. District Court in the Northern District of Texas and later increased to $20 billion.
The lawsuit, viewed as an attack on the First Amendment, challenged editorial decisions made by CBS News, a division of Paramount. Trump took issue with the network airing different portions of Harris' response to a question about the Middle East in different broadcasts. The settlement, reached in July 2025, does not include any statement of apology or regret from Paramount.
The settlement funds will be allocated to Trump's future presidential library and cover plaintiffs' fees and costs. Neither Trump nor co-plaintiff Texas Rep. Ronny Jackson will receive any payment directly or indirectly. Paramount has also agreed to a procedural change whereby "60 Minutes" will release transcripts of interviews with eligible U.S. presidential candidates after airing, subject to legal or national security redactions.
Meanwhile, colleges are preparing for potential Title IX lawsuits in the era of revenue-sharing for athletes. The distribution of revenue from college sports could become a contentious issue, potentially leading to legal action. The NCAA's interim policy allows schools to share revenue with athletes, but the long-term implications are still unclear. Colleges may need to reevaluate their revenue-sharing policies to avoid potential Title IX lawsuits.
The settlement comes just nine days after Paramount filed a memorandum in further support of its petition to dismiss the lawsuit. The deal requires the approval of the Trump-appointed FCC chairman Brendan Carr and his commissioners, and it does not affect Paramount's pending $8 billion merger with David Ellison's Skydance Media, which awaits approval by the Federal Communications Commission.
The evolving landscape of college sports revenue-sharing could lead to significant changes in the way athletic departments operate. Female athletes could argue that they are not receiving equitable compensation, despite generating significant revenue for their colleges. The settlement does not address this issue, leaving it open to interpretation.
Paramount's co-CEO, George Cheeks, stated that the settlement was in the company's best interest to avoid the high and unpredictable cost of legal defense. The settlement ended the legal dispute while avoiding a drawn-out court battle, amidst pressure on Paramount as it awaits regulatory approval for its merger with Skydance Media.
[1] Schwartz, S. (2025). Paramount Settles Trump Lawsuit Over CBS Interview for $16 Million. The New York Times. [2] Smith, M. (2025). Trump Settles Lawsuit with Paramount Over CBS Interview for $16 Million. The Washington Post. [3] Johnson, K. (2025). Paramount Agrees to Release Transcripts of Interviews with Eligible U.S. Presidential Candidates. CNN.com.
[1] Despite the controversy, Paramount Global's decision to settle the lawsuit has opened the door for CBS News to potentially change its business practices, as seen in their agreement to release transcripts of interviews with eligible U.S. presidential candidates, following the airing of the interviews.
[2] Meanwhile, in the world of sports, the distribution of revenue from college sports could lead to significant changes, particularly with regards to equitable compensation for athletes, a matter that may require further investigations in the future.
